“Sociable” is the most recent commentary on essential social media developments and trends from industry expert Andrew Hutchinson of Social Media Today.
A fast check-in on the state of TikTok sale negotiations within the U.S.
With the app technically banned within the U.S., under the Biden-approved Protecting Americans from Foreign Adversary Controlled Applications Act, President Trump is now looking for to search out an alternate solution to avoid a full ban of the platform, while also deriving profit for the U.S. and American partner firms.
So what are the choices on that front?
Here are a number of the potential U.S. TikTok deals in discussion:
- The primary name that continues to return up is Oracle, with Oracle already facilitating the local operations of the app. Oracle CEO Larry Ellison has a longtime relationship with Trump, which likely gives the corporate an in, if it wants it, though Trump noted late last month that he had not personally spoken to Ellison a few TikTok deal. Even so, Oracle has reportedly been involved in various discussions with the Trump administration about taking a stake within the app.
- Amazon can also be a possible TikTok deal, with a view to using TikTok’s reach to advertise Amazon products. Amazon is already working with TikTok on similar in-app listings.
- Microsoft has also reportedly been in discussions concerning the app, though Microsoft hasn’t publicly discussed any such details as yet. There was no mention of TikTok in Microsoft’s recent earning call.
- Various investor consortiums led by YouTuber MrBeast and Employer.com founder Jesse Tinsley, amongst others, are reportedly inquiring concerning the app, nevertheless it’s not clear whether or not they’re realistic bidders within the race.
- X owner Elon Musk is reportedly not excited by buying the app.
So it seems, a minimum of immediately, that considered one of the key players will eventually emerge as one of the best suitor for TikTok within the U.S., with a purpose to facilitate a deal to maintain it in operation.
However, TikTok’s parent company ByteDance remains to be looking for an alternate plan, during which it will remain in command of the app. According to reports, ByteDance representatives met with White House officials last week, during which they proposed a three way partnership with U.S. investors, which can or may not involve investment from the federal government itself.
That would theoretically enable joint control of the app between the U.S. and China, though it’s unclear, at this stage, what the U.S. government will probably be looking for from the deal.
That’ll now come all the way down to Vice President J.D. Vance, who’s been put in command of negotiating a TikTok sale. Trump will still make the ultimate call, but Vance has been tasked with organizing one of the best deal for the U.S., with a purpose to keep TikTok in operation.
But time is brief. Trump granted TikTok a 75-day extension from its original January 19 deadline, which suggests that they now have only 52 days left to barter a brand new arrangement.
It seems likely, given the business opportunities at stake, that a brand new deal will probably be made, but there remains to be a solid likelihood that TikTok will still be cut off from the U.S. by April.
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